A federal judge, Indira Talwani, an Obama appointee, issued a preliminary injunction on July 28, 2025, blocking a provision in the “One Big Beautiful Bill Act,” signed into law by President Donald Trump on July 4, 2025, that aimed to halt Medicaid reimbursements to Planned Parenthood for one year – as reported on the National Catholic Register and Bloomberg Law.
The provision targeted healthcare providers primarily engaged in family planning and reproductive health services, including those performing abortions, and receiving over $800,000 in Medicaid funds in 2023. Although the law did not explicitly name Planned Parenthood, Judge Talwani ruled that it was designed to single out the organization, likely violating the U.S. Constitution’s Bill of Attainder Clause, which prohibits Congress from enacting laws that punish specific entities without a judicial process.
The ruling also cited potential violations of the Equal Protection Clause and the First Amendment’s right to freedom of association. The court order mandates that federal agencies, including the Department of Health and Human Services (HHS), ensure Planned Parenthood facilities continue to receive Medicaid reimbursements for non-abortive services, such as birth control, STI testing, and cancer screenings, in the “customary manner and time frames” while the lawsuit, *Planned Parenthood v. Kennedy*, progresses.
The decision aims to prevent “irreparable harm” to Planned Parenthood, which warned that the funding cut could force the closure of nearly 200 of its 600 clinics nationwide, particularly in states where abortion remains legal, affecting over 1 million patients, many in underserved areas. Planned Parenthood’s annual report for July 2023 to June 2024 revealed that it received nearly $800 million in taxpayer funding, accounting for about 40% of its revenue, primarily through Medicaid reimbursements for non-abortive services, as federal law (the Hyde Amendment) prohibits using federal funds for most abortions. The organization, along with its Massachusetts and Utah affiliates, argued that the defunding provision was a targeted attack to penalize it for its abortion services and advocacy, violating constitutional protections.
The ruling drew sharp criticism from the Trump administration and pro-life groups.
BREAKING: A federal judge, Indira Talwani, an Obama appointee, issued a preliminary injunction today, July 28, 2025, blocking a provision in the “One Big Beautiful Bill Act,” signed into law by President Donald Trump on July 4, 2025, that aimed to halt Medicaid reimbursements to… https://t.co/LaBP5YiE5I
— Catholics for Catholics 🇺🇲 (@CforCatholics) July 29, 2025
An HHS spokesperson expressed strong disagreement, arguing that the decision undermines state flexibility and accountability, as it forces states to fund organizations prioritizing political advocacy over patient care. Susan B. Anthony Pro-Life America (SBA) condemned Judge Talwani as an “activist judge,” with President Marjorie Dannenfelser asserting that the ruling enables Planned Parenthood to continue receiving millions in taxpayer funds, which she claims fuels abortions and poses risks to women. White House spokesperson Harrison Fields called the injunction “absurd” and “illogical,” arguing that the bill was legally passed by Congress and signed by the President, and that the decision highlights judicial overreach. The Trump administration has appealed the ruling, expressing confidence in ultimately prevailing. Planned Parenthood celebrated the decision, with President Alexis McGill Johnson stating it ensures patients can continue accessing critical healthcare at their facilities using Medicaid. However, the organization noted disappointment that an earlier, narrower injunction only protected clinics not providing abortions or receiving less than $800,000 in Medicaid funds, leaving many affiliates vulnerable.
A federal judge just doubled down – forcing taxpayers to fund every Planned Parenthood facility nationwide.
This directly blocks the One Big Beautiful Bill that stopped forced funding of Big Abortion.https://t.co/OpeJJkWp3p pic.twitter.com/JFW9Byh9Y0
— SBA Pro-Life America (@sbaprolife) July 28, 2025
The lawsuit highlights ongoing tensions, as a recent Supreme Court decision on June 26, 2025, allowed South Carolina to exclude Planned Parenthood from its Medicaid program, potentially encouraging other states to follow suit. Meanwhile, pro-life advocates, including SBA and Students for Life of America, argue that community health centers, outnumbering Planned Parenthood facilities 15:1, offer more comprehensive care alternatives, and they hope to make the defunding permanent.
The legal battle continues, with Planned Parenthood facing additional challenges, such as a Missouri lawsuit accusing it of downplaying risks of the abortion pill mifepristone and cuts to federal teen pregnancy prevention programs. The outcome of this case could significantly impact Planned Parenthood’s operations and the broader debate over public funding for organizations providing abortion services.
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